How to Convert Credit Card Payment to EMI in HDFC Bank?
How to Convert Credit Card Payment to EMI in HDFC Bank :- Do you have HDFC Bank Credit Card? If you have an HDFC credit card, then you must be worrying about paying the credit card payment every month. People often search the internet to know the answer to questions like “how to convert credit card payment to EMI in HDFC Bank” to avoid worrying about paying credit card monthly dues.
If you also want to know about the process of how to convert credit card payment to EMI in HDFC Bank. HDFC Bank has brought good news for you. HDFC Smart EMI platform is offered on most of the credit cards at HDFC Bank. Now you can convert your HDFC credit card bill into EMI online using this platform.
Through this post, the complete process and eligibility of how to convert credit card payment to EMI in HDFC Bank will be provided in detail.
What is HDFC Bank Smart EMI?
Smart EMI is a service launched by HDFC Bank through which HDFC Bank credit card bills can be converted into EMIs. If you want to convert your HDFC Bank credit card bill to EMI, For this you credit card should be eligible for Smart EMI.
It has often been seen that when people opt for HDFC Smart EMI, their credit limit gets blocked. The post titled “How to convert credit card payment to EMI in HDFC Bank” will guide you through how you can convert most of the credit card payments into the offered EMI plans.
Smart EMI facility is not provided if you buy gold or other jewelry with a credit card. EMI facility is also not provided for transactions of 60 days and above.
How to Convert Credit Card Payment to EMI in HDFC Bank?
To convert HDFC Bank credit card payment into EMI, it is necessary to know the eligibility for HDFC Smart EMI scheme. You can check the eligibility of Smart EMI scheme on your credit card through net banking or Phone banking.
Through Net Banking
If you want to check your credit card eligibility for HDFC Bank Smart EMI and the process of how to convert credit card payment to EMI in HDFC Bank through HDFC net banking, then follow the steps given below.
- First of all go to the official website of HDFC Bank, the home page of the official website will open.
- Click on the login button from the homepage. In the new page click on the option of continuing to net banking.
- Net banking login page will open. Login to your account using your login credentials.
- Your account details will be there as soon as you login. Click on the Cards option from the Navigation menu.
- Click on the Transact button on the left of the page. Sub menu will open.
- Smart EMI option will appear. Click on the Smart EMI option. View Unbilled Transactions page will open.
- Select your credit card from the dropdown list. Select Debit from the dropdown list in Transaction Type.
- Click on the View button. The option of ‘Click’ to know credit card eligibility for Smart EMI will appear along with the list of your credit card transactions.
- Select the click option to convert any particular transaction into EMI.
- A detailed summary of the transactions including Card Number, Maximum Spending Limit, Interest Rate, Loan Amount and Tenure will open on your screen.
- Choose the appropriate tenure for your repayment. The interest rate is decided on the basis of your eligibility.
- The interest rate will be displayed when you select your desired tenure.
- Click on the ‘submit’ button to confirm the terms and conditions. The final overview of the loan details will appear on the screen.
- Acknowledgment slip and loan reference number will be sent to your mobile via SMS as soon as you confirm the transaction.
- This way your loan will be approved and you will be able to convert HDFC Bank credit card bill into EMI online.
- Thus, one can easily convert their HDFC credit card payment into EMI by following this process of how to convert credit card payment to EMI in HDFC Bank.
Through Phone Banking
HDFC Bank has provided the facility of Smart EMI to its customers on HDFC Bank Net Banking as well as Phone Banking. You can convert your HDFC credit card payment into EMI through phone banking. Follow the following steps to convert HDFC credit card payment to EMI through phone banking.
- First of all to convert HDFC credit card payment to EMI via phone banking, locate and contact your city specific customer care number.
- Inform the customer service representative about the available amount, the repayment period and the interest rate.
- Once confirmed, your reason will be approved immediately without any documentation.
- You can easily convert HDFC Bank credit card bills to EMI through a phone banking facility.
- Thus, one can easily convert their HDFC credit card payment into EMI by following this process of how to convert credit card payment to EMI in HDFC Bank through phone banking.
HDFC Credit Card EMI Conversion Benefits
HDFC Bank offers its customers the option to convert credit card outstanding dues and purchases into EMIs.
Taking advantage of this HDFC Bank feature, customers can easily convert their expenses and purchases into small monthly installments and make payments. Following are the benefits of converting HDFC Bank credit card payment to EMI.
Deferred Payments –
There are times when a person is unable to pay its credit card bill in full or it may want to buy a big ticket without spending all of its budget. In such a situation, the HDFC Bank credit card holder can convert his/her credit card payment into EMI and pay slowly over a few months.
Reduction In Financial Stress-
You can pay bills slowly through EMI, due to which your savings are not affected. Converting credit card payments to EMI is more essential for salaried people who want to buy an item of their choice without impacting the monthly budget.
No Cost EMI –
The biggest advantage of converting credit card payment to EMI is No Cost EMI. That means there is no need to pay any extra charges for converting HDFC Bank credit card payment to EMI. Here there is no interest rate or processing fee for converting the payment into EMI.
Debit Card EMI Facility –
HDFC Bank also gives the benefit of EMI facility to its customers who do not have a credit card available. HDFC customer wants to make purchases on EMI then he can apply for Debit Card EMI.
HDFC Credit Card EMI Conversion Drawbacks
While converting HDFC Bank credit card payment into EMI, while there are some advantages, there must be some disadvantages as well. The following are the possible disadvantages of converting to HDFC Credit Card Payment MI.
Interest Accrual –
HDFC Bank EMI under Smart EMI allows higher payment at a cost. That means you will be charged interest on the amount paid and HDFC Credit Card EMI interest rate can be as high as 18% after purchase and 15% at point of sale. Due to the high interest rate, it can have a bad effect on your savings. It can be worse for you if you don’t make regular payments.
Credit Limit Blocked-
The total purchase amount may get blocked against the credit limit when you avail HDFC Credit Card EMI facility. Your credit limit is gradually increased as your payment process progresses. The amount blocked every month is equivalent to MI. As soon as this My installment is completed, the credit limit of the same amount is increased.
Increase in Credit –
Purchasing on EMI will definitely reduce your credit limit but if you continue to use the Dalit card for more big ticket expenses then you will use a higher credit limit which will increase your credit utilization ratio (credit limit and utilization). ratio between) will increase. You must remember that certain credit utilization ratios reduce a customer’s CIBIL score.
Important Information Regarding Hdfc Credit Card EMI
- The annual interest rate for 1 year post-purchase on HDFC Bank Credit Card is 18%.
- The annual interest rate for point of purchase (merchant) for 1 year on HDFC Bank credit cards is 15%.
- HDFC Bank offers zero cost EMI facility at Point of Sale on credit cards.
- The customer can choose the tenure and interest rate as per his requirement.
Things To Keep In Mind At The Time Of Hdfc Credit Card Emi Application
Before converting HDFC credit card payment to EMI, it is important to keep the following points in mind.
While applying for HDFC Credit Card EMI, be sure to keep in mind the call duration. If you avail EMI facility for a longer tenure, the interest rate is much lower. Whereas the interest rate is higher in the short term. If you take EMI facility for longer tenure than for shorter tenure then it will prove to be less interest payer for you.
For example, if you change the amount of ₹ 10000 in an MI for a period of 3 months in May, then the rate of interest is charged at 20% while the same amount is converted into an EMI of 12 months, then the interest rate is 18%. She goes. For a period of 3 months, you have to pay interest of Rs 493.15 on Rs 10,000, while Rs 1,800 on Rs 10000 for 12 months.
If you are willing to pay less interest then choose shorter tenure and go with shorter tenure for a smaller amount of interest. But keep in mind that a short period of time is not always beneficial. If you have converted a huge amount into EMI then you will have to pay more every month. In such a situation, most of your salary amount will go towards EMI payment and you will be left with less money for other expenses, which can ruin your financial situation.
Card Variant –
One type of interest rate facility is not offered on all cards under HDFC Smart EMI. EMI facility is made available on each credit card at a different rate of interest. So, if you have more than one HDFC credit card, check which card has the lowest interest rate before applying for EMI. The interest rate offered by the bank depends on the financial position, brand loyalty, income, and type of credit card.
Loan Benefits –
While applying for converting HDFC credit card payment to EMI, keep in mind that you may not be able to avail reward points and discounts at the time of EMI conversion. This is especially true for converting the payment amount into EMI at merchant point of sale. If the offer is important to you, then keep in mind that you must save money for shopping.
Timely EMI Payment –
Before converting HDFC credit card payment to EMI, keep in mind that you are absolutely required to pay the EMI amount every month. If you do not pay the EMIs on time, bill payments will become uncontrollable for you. Because additional interest rate will be levied on the unpaid amount.
If you do not make this payment on time, you may incur the following losses.
- Lost Interest Free Period – Interest free period is given to the customer during the EMI payment period. If you do not pay the EMI on time, your facility will be treated as cancelled.
- Credit Card Interest Rate – Failure to pay EMI on time can lead to HDFC credit card interest rate of 42% per annum. Due to which the consumer will have to pay a very high interest amount.
- Credit Score – If your EMI is not deposited on time then the credit bureaus are informed by the bank that the EMI is not being paid by the cardholder on time, due to which your CIBIL score gets reduced.
Taking a loan against a credit card can be a good option for you if you want to divide your total outstanding credit amount and pay it over a fixed period. Under this facility, you can get a loan against your credit card limit. Click on the link of Click Here to avail loan against HDFC Bank Credit Card and to know the interest rate and charges applicable on the loan.
Process of How to Convert Credit Card Payment to EMI in HDFC Bank
There are two ways to convert HDFC Credit Card Payment to MI which are as follows.
Merchant EMI Conversion
Under this, the consumer can convert the big ticket purchase into EMI at the point of sale. For this, the customer just needs to ask the cashier/dealer to convert this amount into EMI at the time of retail purchase. But keep in mind this type of facility is available only on select merchant stores. At the time of online shopping, the consumer now EMI facility can be availed.
Post Purchase EMI Conversion (Smart EMI)
You are required to login to your account for Post Purchase EMI. Follow the steps given below to avail the post-purchase Mi facility.
- First of all login to HDFC net banking account using login credentials.
- Select the New in Cards option in the navigation.
- Click on the ‘Transact’ link given on the left side of the page.
- Select your card from the dropdown list in the Select the Card and go to Unbilled transactions page.
- Select Debit in Transaction Type and click on View button.
- Check the box next to the transaction you want to convert to EMI.
- Click on the Confirm button. Select the black period and interest rate.
- Finally confirm all the information.
- Once confirmed, your request will be accepted and EMI facility will be provided under the tenure chosen by you.
Through this post, you have been provided enough information about ‘how to convert credit card payment to EMI in HDFC Bank’. Now you can enjoy all your purchases with HDFC Credit Card without the hassle of paying huge bills.
If you are facing any problem while converting your HDFC credit card payment to Smart EMI even after reading the post titled ‘How to convert credit card payment to EMI in HDFC Bank’, then click on the link of “Smart EMI”, you can get this facility by clicking here.
How to Convert Credit Card Payment to EMI in HDFC Bank FAQs
Q-1. How does EMI work on HDFC Credit Cards?
When you make a purchase through a credit card, the transaction amount is blocked from the credit limit of the card. When you request the bank to convert this amount into EMI, it is accepted by the bank and interest is charged from you on this amount. You pay only the amount that you have converted the EMI during the tenure of your chosen tenure.
Q-2. Can one get No Cost EMI on post-purchase?
No, often the benefit of No Cost EMI is given only at the time of purchase. No Cost EMI is usually offered by online retailers like Amazon, Flipkart etc.
Q-3. Can the credit card bill be paid through EMI?
Yes, currently only HDFC Bank offers the facility to pay special purchases made on credit cards through EMI. You can convert the entire outstanding amount of HDFC Bank Credit Card to EMI.
Q-4. How is the No Cost EMI scheme different from the normal EMI scheme?
When you convert a transaction amount into EMI, in normal EMI scheme the cardholder is charged interest rate as well as processing fee, but under No EMI scheme such charges are not levied.
Q-5. What are the call duration options provided on MI Conversion?
No cost EMI usually offers a tenure of 3 months or 6 months while normal EMI offers tenure of up to 3,6,9,12,24 months.
Q-6. How to convert credit card payment in EMI in HDFC Bank?
First of all login to HDFC net banking account using login credentials.
Select the New in Cards option in the navigation.
Click on the ‘Transact’ link given on the left side of the page.
Select your card from the dropdown list in the Select the Card and go to Unbilled transactions page.
Select Debit in Transaction Type and click on View button.
Check the box next to the transaction you want to convert to EMI.
Click on the Confirm button. Select the black period and interest rate.
Finally confirm all the information.
Once confirmed, your request will be accepted and EMI facility will be provided under the tenure chosen by you.
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